XA Chosen as the Design and Production Partner for the People en Español "50 Most Beautiful" Event

XA, Inc., (XA) (OTC BB: XAIN), a major national event marketing firm that serves many Fortune 500 companies, announced today that it has been selected as the Design and Production Partner for the People en Español "50 Most Beautiful" event.

The event that celebrates the magazine's signature issue and acknowledges the 50 Most Beautiful Hispanic celebrities will take place Wednesday, May 17, 2006 at Skylight Studios, 275 Hudson Street in New York City. Sponsors include Johnnie Walker, Maybelline, Vavoom and American Airlines.

Several of the celebrities featured in the issue will be in attendance. Each of the sponsors will have a brand presence throughout the event including a Maybelline station where guests can receive a touch up on their make-up. Johnnie Walker will be giving guests samples of their different labels. A 50 sisal carpet will replace the traditional red carpet and inside guests will enjoy the sounds of Congo players and a DJ.

Marketers spent an estimated $166 billion on event marketing in 2004, up a healthy 9% for the year. Companies earmarked an average 25% of their 2005 budgets for event marketing, up from 10.7% last year, according to PROMO's survey of event marketing executives. (Source: PROMO Magazine, April 2005)

About People en Español

People en Español was launched in 1998 and today is the best-selling Hispanic magazine in the United States. Each month, the publication reaches more than four million readers with an exciting editorial mix of Hispanic and mainstream entertainment coverage, fashion and beauty service and compelling human-interest stories. Distinguishing itself from its English-language counterpart, People en Español delivers original editorial content that captures the values, contributions and impact of Hispanics in the United States.

About XA

XA is a holding company for several wholly owned subsidiaries, one of which is The Experiential Agency, Inc., an Illinois corporation. The Experiential Agency, Inc. has offices in Chicago, New York and Los Angeles from which it provides corporations and highly visible brands with comprehensive event marketing, design and production services. Since 1989, the XA team has been the creative force behind prestigious, national projects for such clients as The NBA, Disney, McDonald's, British Telecom, Song Airlines, Eurex, Olympus, Salvatore Ferragamo, Vogue, W Hotels, ABN AMRO and Emirates Airline. In 2003 and 2004, Special Events Magazine ranked XA as one of the "Top 50 Powerhouse Event Companies in the World."

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. In particular, when used in the preceding discussion, the words "believes," "expects," "intends," "will," "anticipated," or "may," and similar conditional expressions are intended to identify forward-looking statements within the meaning of the Act and are subject to the safe harbor created by the Act. Except for historical information, all of the statements, expectations and assumptions contained in the foregoing are forward-looking statements that involve a number of risks and uncertainties. It is possible that the assumptions made by management are not necessarily the most likely and may not materialize. In addition, other important factors that could cause actual results to differ materially include the following: business conditions and the amount of growth in the company's industry and general economy; competitive factors; ability to attract and retain personnel; the price of the Company's stock; and the risk factors set forth from time to time in the Company's SEC reports, including but not limited to its annual report on Form 10-KSB; its quarterly reports on Forms 10-QSB; and any reports on Form 8-K. XA, Inc. (OTC BB: XAIN) takes no obligation to update or correct forward-looking statements and also takes no obligation to update or correct information prepared by third parties that is not paid for by the Company.

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